Make sure you did the step: “2.2 Expand Additional Structures to Place, click +, and add your MyStandingTorch” in your PrimalGameData_BP_Yourmod.
And also" “5.4. Locate Structure->Consumes Primal Item, and change it to PrimalItemStructure_MyStandingTorch”
The two things above will prevent the crafted item from being placed.
I built a mini fabricator using this guide for a mod I’m working on and it works 100% perfect. Make sure you have done every step and it should work without issues.